How To Manual Bank Reconciliation

Transcription

1 How To Manual Bank Reconciliation

2 DOCUMENT SUMMARY SHEET Document Type: How To Document Title: Non Vendor Payments Document Summary: File Name: HowTo-Manual Bank Reconciliation 2013.odt Created on: Tuesday, 12 March 2013 Created by: S Sackett Last Modified on: Tuesday, 12 March 2013 Last Modified by: S Sackett NOTES 1. Responsibility is disclaimed for any loss or damage (including but not limited to damage resulting from the use by the client of the document) suffered by any other person for any reason at all including but not limited to negligence by ADAXA Pty Ltd (ADAXA). 2. Whilst this document is accurate to the best of our knowledge and belief, ADAXA cannot guarantee the completeness or accuracy of any description or conclusions based on the supplied information. 3. The recommendations contained in the document are advisory and ADAXA has no responsibility for the management or operation of any recommendations that may be implemented by the client. 4. This document is licensed under the terms shown at Adaxa Pty Ltd Page 1

3 Table of Contents Purpose of this Document Manual Bank Reconciliation Process 2.1 The Menu The Bank Statement Window The 'Create Lines' Form Selecting Transactions for a Days Deposit Completing the Bank Statement The Accounting Consequences Suppressing Bank in Transit Postings The Bank Statement Line Tab Other Matters to Note Manually insertd bank statement lines Payment Currency Different to the Bank Account Currency...13 Adaxa's Offices and Contacts Australia New Zealand United States of America Adaxa Pty Ltd Page 2

4 1 Purpose of this Document The purpose of this document is to explain the process of manual bank reconciliation in the ADempiere ERP system. By manual bank reconciliation we mean where the Payments have already been entered into the system by manual posting Payment Selection for paying vendors in bulk importing from a CSV or similar downloaded from your bank. It is also possible to create payments by code by creating your on bank statement import class. This case is not considered in this document Adaxa Pty Ltd page 3 of 16

5 2 Manual Bank Reconciliation Process 2.1 The Menu Open the Bank Statement window from the Open Items menu: 2.2 The Bank Statement Window The Bank Statement window will create a new record if that option is selected in preferences. If a new record is not presented then click new record. If you wish to work on an existing bank statement then select that record Adaxa Pty Ltd page 4 of 16

6 Note that a date and name will have been defaulted in by the system. The values can be changed by the user if required. If you are in 'catch-up' mode after go-live then we suggest that you create multiple bank statement records in Adempiere and reconcile the account one week at a time (depending on your volumes). The reason for this is that it is less error prone to do it in small pieces and also, and mainly, because the number of items that will be displayed as waiting reconciliation will be a lot smaller. Having set the date and either accepted the defaulted name or changed it you should then confirm that the balance displayed as the Beginning Balance is the same as on the bank statement you are reconciling to (or the electronic equivalent if that is what you are using). If it is not the same the track down and correct the earlier error. In the example above the date of 31 Jan 2013 has been selected (the date format is because the demonstration system is a USA based system). 2.3 The 'Create Lines' Form Cick the Create Lines From button and the following form will be displayed. You can see that the ending transaction date field has inherited the statement date from the Bank Statement header record. The data in 2013 Adaxa Pty Ltd page 5 of 16

7 the form is all unreconciled transactions with a Payment date on or before the Statement Date. If you wish to filter on date to see a lesser number of records then change the date and click the refresh icon This will display all the transactions that are waiting to be reconciled to the bank statement. 2.4 Selecting Transactions for a Day's Deposit To select a group of transactions that may represent the deposits of 'cheques' on a particular date select the Tender Type of cash and the date of the deposit. Then click the refresh button to filter to just those records. Clicking the Select All button will tick all the items and display the total at the bottom left of the form. If the balance agrees with the total in the bank statement then click the green tick button. will 'reconcile those items.. This 2013 Adaxa Pty Ltd page 6 of 16

8 You will then be returned to the Bank Statement header window: 2013 Adaxa Pty Ltd page 7 of 16

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10 Click Create Lines From again to display the transactions remaining to be reconciled. Select the remaining items appearing on the bank statement and click the green tick. Th The Bank Statement Header record will now display the Ending Balance which must agree with the ending balance on the bank statement you are dealing with. If it does not then find and correct the error. 2.5 Completing the Bank Statement When the 'Ending Balance' agrees with the Statement balance from the Bank you should click the Complete button on the Bank Statement header tab. This will complete and post this Bank Statement document Adaxa Pty Ltd page 9 of 16

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12 2.6 The Accounting Consequences Clicking on the Posted button will show what transactions have been added to your general ledger Suppressing Bank-in-Transit Postings Note that there is an option on the Accounting Schema window that allows you to suppress the transactions in the Bank-in-Transit account as follows: In the Bank > Bank Account > Accounting window: Set the GL account for the Bank as (say) Set the GL account for the Bank-in-Transit account also as Set the Post if Clearing Equal flag on the Account Schem top tab to N. As is indicated by the name of the flag, if the two accounts have the same code then the system will not generate postings where the effect would simply be Dr account / CR account with the same accounted value Adaxa Pty Ltd page 11 of 16

13 2.7 The Bank Statement Line Tab When you select a record in the lines form and click the green tick a record is added to the Bank Statement Lines tab as shown below. These record contains the details of all the payments reconciled in this Bank Statement. Clicking on the Report button in the toolbar will cause a report to be created of all items reconciled in this Bank Statement. There is no need to print a copy and save it as it can always be reprinted however is of - ten useful to print it or export it to a spreadsheet when checking for an error. The report will display whatever columns have been selected in the Print Format Adaxa Pty Ltd page 12 of 16

14 Here is an example: 2.8 Other Matters to Note Manually inserted bank statement lines As can be seen in the screenshot of the Bank Statement Line it is possible to modify values in the the actual bank statement line record and indeed to click new record and insert additional lines. Adaxa does not recommend this approach and suggests that all items that appear on the bank statement be created as payments in the Payments window and then be selected using the Create Lines form. Because we recommend against manually adding lines we have not detailed how to use this functionality Payment Currency Different to the Bank Account Currency. Assume we have a Bank Account in USD and we make a Euro payment. If the payment is entered in the Payments window as EUR100 it will be converted for accounting purposes to (say) USD150. This can be seen by clicking on the Posted button on the Payment. When the bank statement is checked it may be that the debit on the bank statement is (say) USD175. In order to properly reflect this extra bank fee or exchange difference the user must change the amount in the Statement Amount field on the Bank Statement Line to USD175. This will cause the Charge field to be activated. The user must select a Charge like Bank Fees or Realised Exchange Loss and enter the USD25 in order to prop - erly reconcile the transaction. [note: you may see slightly different functionality in some versions. For eaxmple when you enter the EUR Pay - ment in the USD bank account the system may ask you for the USD amount is it is known and it will then man - age the above process automatically] 2013 Adaxa Pty Ltd page 13 of 16

15 Adaxa's Offices and Contacts Information of a general nature about Adaxa and its services can be found at or obtained by sending an to info@adaxa.com with a description of the information that you would like to receive. If you are an existing client and wish to initiate a request for software support please send an to helpdesk@adaxa.com with as much detail as possible about the nature of your support request. For all other information please contact the Adaxa office nearest to you. Australia Address: Contacts: Level 1, 616 St Kilda Road, Melbourne, Victoria, 3101, Australia Office (Within Australia) (Outside of Australia) New Zealand Address: Contacts: 73 Boston Road, Mt Eden, Auckland, 1023, New Zealand Office (Within New Zealand) (Outside of New Zealand) United States of America Address: PO Box 6350 Oceanside, CA Contact: Office Main Fax 2013 Adaxa Pty Ltd page 14 of 16